Wanted: discussion on the fiscal-monetary policy mix

Resumo

A truly independent central bank should be questioning whether fiscal policy as conducted by the Treasury is consistent with the annual inflation target. Otherwise, a target that might be desirable for inflation may be bad for the country, says economist Rubens Penha Cysne. He calls on the central bank to do more incisive and public questioning of fiscal policy and challenge earmarking and other budgetary practices that are not compatible with a presidential democracy.